Attention on the direction of the Swiss franc following the drop in the February unemployment rate

Attention on the direction of the Swiss franc following the drop in the February unemployment rate

08.03.2023

In the U.S. currency market the previous day, the U.S. dollar strengthened against the Canadian dollar following hawkish remarks by Federal Reserve Chair Powell.The USD/CAD pair rose from 1.3598 to 1.3760, closing with a strong bullish candle on the daily chart. Yesterday’s rally pushed the USD/CAD pair up to the +2σ level of the weekly Bollinger Bands. The weekly RSI has resumed its upward trend from the 48 midpoint. On the short-term hourly chart, the RSI is showing divergence from the 87 level, so traders should be cautious of a pullback during European trading hours.

Among European currencies, the Swiss franc fell against the yen after the seasonally adjusted unemployment rate for February, released yesterday, came in at 1.9%. The CHF/JPY pair fell from 146.336 to 145.324, dropping below the 20-period moving average on the 4-hour chart. However, during today’s Asian trading session, the pair has rebounded strongly amid yen selling and has already recovered to 146.092. We will monitor the situation closely to see if this rebound continues through the U.S. trading session.

Today, at 4:00 PM, Germany’sIndustrial Production, German Retail Sales; at 6:30 PM, remarks by UK MPC member Dingra; at 7:00 PM, remarks by ECB President Lagarde; at 9:00 PM, US MBA Mortgage Applications Index; at 10:00 PM, remarks by US Richmond Fed President Barkin; at 10:15 PM, US ADP National Employment Report; at 10:30 PM, Canada’sTrade Balance, U.S. Trade Balance, 12:00 AM: Canada – BOC Policy Rate and Statement, U.S. – JOLTS Job Openings, U.S. – Fed Chair Powell’s Congressional Testimony, 12:30 AM: U.S. – Weekly Crude Oil Inventories, 3:00 AM: U.S. – 10-Year Treasury Auction, 4:00 AM: U.S. – Beige Book. Keep an eye on the direction of the Swiss franc following the decline in the February unemployment rate.

Past Market Reports

1. 21.04.2026New

   With the euro-Australian dollar pair hitting new lows this month, attention is turning to how much further it might fall

2. 20.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

3. 17.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

4. 16.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

5. 15.04.2026New

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

6. 14.04.2026

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

7. 13.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

8. 10.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

9. 09.04.2026

   Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?

10. 08.04.2026

    Market participants may be wary of further downside potential for the U.S. dollar, which has weakened amid concerns over the situation in Iran